Section 106 Agreements Update:
To receive a verbal update and a presentation.
Minutes:
The Chairman welcomed Amanda Seaton (Lead Section 106 Monitoring Officer) to the Meeting who was in attendance to deliver a presentation to Members on Section 106 Agreements alongside Greg Macrdechian (Interim Local Plan Lead) who was in attendance virtually to provide an update on the NHS multiplier allocation in East Lindsey district (a copy of the presentation is attached at Appendix A to the Minutes).
Members were provided with an update in relation to Action No. 28 from the Meeting held on 23 July 2025. The Interim Local Plan Lead explained to Members that the Lincolnshire Integrated Care Board had responded that the only variable in the calculations for Section 106 multiplier allocations across Lincolnshire was the application of the latest census information to indicate the likely associated population growth, and that outside of this within Lincolnshire all other factors remained the same.
The Lead Section 106 Monitoring Officer explained to Members that an update on financial information on Section 106 agreements had been delayed due to staffing and that a future update would be provided to the Committee once PSPS had completed a deep dive into the Section 106 ledgers and reserves.
Members were further advised that a member of the Section 106 monitoring team would be based at the Horncastle Hub on Thursdays each week to increase presence and answer any in-person enquiries.
Members were invited to put their comments and questions forward.
- A Member stressed the importance of funding being used for GP Services and queried whether the 40,000 caravans on the east coast was included in calculations for where Section 106 monies was being allocated and spent. In response, the Interim Local Plan Lead advised Members that clarification would be requested from the Lincolnshire Integrated Care Board (ICB) to determine whether caravans were being accounted for.
- The Chairman commented on the impact of yearlong tourism to health services on the coast.
- A Member highlighted an example in Sibsey where S106 money had been divided between four surgeries in Boston rather than the nearest doctor’s surgery.
- A Member further queried the process that was in place to ensure that money was allocated to individual doctors’ surgeries.
In response, the Interim Local Plan Lead advised Members that funding allocation needed to meet certain requirements and depended on the terms written in each Section 106 Agreement. Members were further advised that there had been greater leniency in where the funds were distributed which had resulted in groups of surgeries being able to benefit.
- The Chairman highlighted concerns with large housing developments and the lack of infrastructure, including doctors’ surgeries and schools to support them.
- A Member queried who was responsible for controlling where S106 money was distributed. In response, the Lead Section 106 Monitoring Officer advised Members that Lincolnshire County Council and the NHS were responsible for assigning the money and that the Council monitored the money to ensure that it was spent according to the agreements in place. Members were further advised that the Section 106 Monitoring team could examine the reason that money was not being distributed to specific doctors’ surgeries.
- Referring to Appendix A1 – Section 106 FAQs, a Member queried the reason that developments such as the Hatton Compressor Station which had recently been upgraded and was classed as a Control of Major Accident Hazards (COMAH) Site had no Section 106 Agreements in place, pages 55 the Agenda refers. In response, the Lead Section 106 Monitoring Officer explained to Members that a response from the Planning Department was needed for questions relating to the process undertaken for securing Section 106 Agreements.
- A Member further queried whether all energy producing plants including anaerobic digesters would meet the requirements for Section 106 Agreements. In response, the Lead Section 106 Monitoring Officer advised Members that the Council’s senior planning lawyer or Development Management Lead was best placed to provide a response.
- A Member queried who was responsible for paying legal fees, pages 55 and 56 of the Agenda refer. In response, the Lead Section 106 Monitoring Officer explained to Members that the Council was moving away from Lincolnshire Legal Services and that the Council’s Senior Planning Lawyer was responsible for recharging the developer.
Further to a discussion it was agreed that Andy Booth, Development Management Lead be invited to the next Meeting of the Committee to update Members on the process for securing Section 106 Agreements.
Members further agreed that an update on Section 106 Agreement financial information would be added to the Committee’s Work Programme for 6 months’ time.
- A Member queried the reasons that East Lindsey District Council was not charging Community Infrastructure Levies (CILs) and highlighted the need for support for schools and playgrounds. In response, the Chairman did not recall the Council having ever used CILs as it was Council policy to utilise Section 106 Agreements. The Lead Section 106 Monitoring Officer further advised Members that CILs could have disadvantages.
- A Member queried whether the money from CILs was distributed to Parish Councils. In response, the Lead Section 106 Monitoring Officer advised Members that Parish Councils could submit proposals for where funding was allocated.
- The Chairman provided an example where Horncastle Town Council had attempted to request funding for a playpark and the location did not meet the requirements of being directly affected by the development in order to receive funding.
- A Member highlighted concerns that East Lindsey district was missing out on money coming into the area from developments.
- Members discussed the processes in place for ensuring that money was allocated to local doctors’ surgeries. In response, the Lead Section 106 Monitoring Officer explained to Members that housing developments usually had a 50% occupancy requirement before distribution of the funding was triggered. Members were further advised that more than one Section 106 agreement could be in place per project which could trigger at various stages of a project across a period of several years.
Further to a discussion, it was agreed to circulate the Presentation Slides on Section 106 Agreements for East Lindsey through Members’ Point Brief.
No further comments or questions were received.
The Chairman thanked Amanda Seaton (Lead Section 106 Monitoring Officer) and Greg Macrdechian (Interim Local Plan Lead) for their informative update.
N.B Amanda Seaton (Lead Section 106 Monitoring Officer) and Greg Macrdechian (Interim Local Plan Lead) left the Meeting at 10.45am.
Supporting documents: